- Do electric cars cost more to insure?
- How much does it cost to insure an electric car?
- Electric car insurance companies
- Does Tesla offer electric car insurance?
- Electric vehicles insurance vs. conventional vehicle insurance
- Why are electric cars expensive to insure?
- How to save on electric car insurance
- Do insurers offer electric vehicle insurance discounts?
- Methodology
- Electric car insurance: FAQ
Do electric cars cost more to insure?
On average, electric vehicles cost more to insure. The average cost of electric car insurance is $3,174 a year, which is well above the national average for all cars.
An electric car's higher price tag and more complex equipment mean it may cost more to repair or replace than a gas-powered auto if it's in an accident. That can mean higher rates for policyholders who carry comprehensive and collision coverage.
How much does it cost to insure an electric car?
The average cost to insure an electric vehicle is $3,174, based on full coverage rates from national carriers.
But rates vary depending on many factors, including the vehicle’s make and model.
The most expensive electric car to insure is the Mercedes-AMG EQS, with an average annual premiumThe payment required for an insurance policy to remain in force. Auto insurance premiums are quoted for either 6-month or annual policy periods. of $5,648. The Audi e-tron GT is right behind it, however, averaging $5,528. The third most expensive electric vehicle to insure is the BMW i7 at an average of $5,480 a year.
| Model name | Monthly premium | 6-month premium | Annual premium |
|---|---|---|---|
| Mercedes-AMG EQS | $471 | $2,824 | $5,648 |
| Audi e-tron GT | $461 | $2,764 | $5,528 |
| BMW i7 | $457 | $2,740 | $5,480 |
| Tesla Model S | $423 | $2,537 | $5,074 |
| Porsche Taycan | $423 | $2,537 | $5,073 |
| Porsche Taycan Cross Turismo | $415 | $2,490 | $4,981 |
| Tesla Model X | $400 | $2,403 | $4,805 |
| Mercedes-Benz EQS | $399 | $2,393 | $4,786 |
| Mercedes-Benz EQS SUV | $389 | $2,331 | $4,663 |
| GMC Hummer EV SUV | $376 | $2,256 | $4,513 |
| GMC Hummer EV Truck | $343 | $2,056 | $4,111 |
| Audi SQ8 e-tron | $334 | $2,005 | $4,010 |
| BMW iX | $326 | $1,958 | $3,916 |
| BMW i5 | $323 | $1,939 | $3,877 |
| Mercedes-Benz EQE | $322 | $1,931 | $3,862 |
| BMW i4 | $310 | $1,863 | $3,726 |
| Genesis Electrified G80 | $304 | $1,823 | $3,646 |
| Mercedes-Benz EQE SUV | $303 | $1,819 | $3,639 |
| Tesla Model Y | $294 | $1,765 | $3,529 |
| Tesla Model 3 | $289 | $1,733 | $3,466 |
| Polestar 2 | $281 | $1,683 | $3,367 |
| Audi Q8 e-tron | $275 | $1,647 | $3,295 |
| Genesis GV60 | $264 | $1,586 | $3,172 |
| Volvo C40 Recharge | $262 | $1,569 | $3,139 |
| Toyota Mirai | $255 | $1,532 | $3,064 |
| Kia EV9 | $255 | $1,532 | $3,064 |
| Nissan Ariya | $255 | $1,529 | $3,059 |
| Jaguar I-Pace | $254 | $1,527 | $3,054 |
| Genesis Electrified GV70 | $251 | $1,503 | $3,006 |
| Cadillac LYRIQ | $249 | $1,492 | $2,985 |
| Hyundai Ioniq 6 | $244 | $1,465 | $2,929 |
| Chevrolet Blazer EV | $241 | $1,445 | $2,890 |
| Mercedes-Benz EQB | $240 | $1,440 | $2,879 |
| Volvo XC40 Recharge | $238 | $1,426 | $2,853 |
| Ford Mustang Mach-E | $238 | $1,426 | $2,851 |
| Kia EV6 | $238 | $1,425 | $2,850 |
| Ford F-150 Lightning | $229 | $1,372 | $2,743 |
| Hyundai Ioniq 5 | $227 | $1,360 | $2,721 |
| Audi Q4 e-tron | $226 | $1,355 | $2,711 |
| Toyota bZ4X | $225 | $1,350 | $2,699 |
| Subaru Solterra | $221 | $1,324 | $2,647 |
| Chevrolet Silverado EV | $204 | $1,226 | $2,452 |
| Nissan Leaf | $200 | $1,198 | $2,396 |
| Volkswagen ID.4 | $193 | $1,159 | $2,318 |
| Hyundai Kona Electric | $190 | $1,138 | $2,276 |
| Kia Niro EV | $187 | $1,120 | $2,239 |
| Mini Cooper Electric | $175 | $1,050 | $2,099 |
On the other side, the cheapest electric car to insure is Mini Cooper Electric at an average cost of $2,099 a year. It's followed by the Kia Niro EV at $2,239 a year and the Hyundai Kona Electric at $2,276 a year.
| Model name | Monthly premium | 6-month premium | Annual premium |
|---|---|---|---|
| Mini Cooper Electric | $175 | $1,050 | $2,099 |
| Kia Niro EV | $187 | $1,120 | $2,239 |
| Hyundai Kona Electric | $190 | $1,138 | $2,276 |
| Volkswagen ID.4 | $193 | $1,159 | $2,318 |
| Nissan Leaf | $200 | $1,198 | $2,396 |
| Chevrolet Silverado EV | $204 | $1,226 | $2,452 |
| Subaru Solterra | $221 | $1,324 | $2,647 |
| Toyota bZ4X | $225 | $1,350 | $2,699 |
| Audi Q4 e-tron | $226 | $1,355 | $2,711 |
| Hyundai Ioniq 5 | $227 | $1,360 | $2,721 |
| Ford F-150 Lightning | $229 | $1,372 | $2,743 |
| Kia EV6 | $238 | $1,425 | $2,850 |
| Ford Mustang Mach-E | $238 | $1,426 | $2,851 |
| Volvo XC40 Recharge | $238 | $1,426 | $2,853 |
| Mercedes-Benz EQB | $240 | $1,440 | $2,879 |
| Chevrolet Blazer EV | $241 | $1,445 | $2,890 |
| Hyundai Ioniq 6 | $244 | $1,465 | $2,929 |
| Cadillac LYRIQ | $249 | $1,492 | $2,985 |
| Genesis Electrified GV70 | $251 | $1,503 | $3,006 |
| Jaguar I-Pace | $254 | $1,527 | $3,054 |
| Nissan Ariya | $255 | $1,529 | $3,059 |
| Toyota Mirai | $255 | $1,532 | $3,064 |
| Kia EV9 | $255 | $1,532 | $3,064 |
| Volvo C40 Recharge | $262 | $1,569 | $3,139 |
| Genesis GV60 | $264 | $1,586 | $3,172 |
| Audi Q8 e-tron | $275 | $1,647 | $3,295 |
| Polestar 2 | $281 | $1,683 | $3,367 |
| Tesla Model 3 | $289 | $1,733 | $3,466 |
| Tesla Model Y | $294 | $1,765 | $3,529 |
| Mercedes-Benz EQE SUV | $303 | $1,819 | $3,639 |
| Genesis Electrified G80 | $304 | $1,823 | $3,646 |
| BMW i4 | $310 | $1,863 | $3,726 |
| Mercedes-Benz EQE | $322 | $1,931 | $3,862 |
| BMW i5 | $323 | $1,939 | $3,877 |
| BMW iX | $326 | $1,958 | $3,916 |
| Audi SQ8 e-tron | $334 | $2,005 | $4,010 |
| GMC Hummer EV Truck | $343 | $2,056 | $4,111 |
| GMC Hummer EV SUV | $376 | $2,256 | $4,513 |
| Mercedes-Benz EQS SUV | $389 | $2,331 | $4,663 |
| Mercedes-Benz EQS | $399 | $2,393 | $4,786 |
| Tesla Model X | $400 | $2,403 | $4,805 |
| Porsche Taycan Cross Turismo | $415 | $2,490 | $4,981 |
| Porsche Taycan | $423 | $2,537 | $5,073 |
| Tesla Model S | $423 | $2,537 | $5,074 |
| BMW i7 | $457 | $2,740 | $5,480 |
| Audi e-tron GT | $461 | $2,764 | $5,528 |
| Mercedes-AMG EQS | $471 | $2,824 | $5,648 |
Electric car insurance companies
Most car insurance companies cover electric vehicles, and aside from Tesla insurance, there aren't any electric car insurance companies focused solely on electric cars.
Major car insurance companies that write electric car policies include State Farm, Allstate and Geico. Our data shows that, among national carriers, Geico has the cheapest rates for EVs on average, with rates of $2,610 nationwide. State Farm follows at $2,622 a year.
Because so many factors affect car insurance rates, it's important to shop around and compare rates for your needs. Take a look at average rates from the top national carriers below.
| Company | Monthly premium | 6-month premium | Annual premium |
|---|---|---|---|
| Geico | $217 | $1,305 | $2,610 |
| State Farm | $218 | $1,311 | $2,622 |
| Progressive | $231 | $1,388 | $2,776 |
| Nationwide | $241 | $1,445 | $2,891 |
| Farmers | $346 | $2,075 | $4,150 |
| Allstate | $351 | $2,106 | $4,213 |
| National Average | $265 | $1,587 | $3,174 |
Does Tesla offer electric car insurance?
Tesla offers its own insurance program for its vehicles. It doesn't insure any other type of EV. Tesla insurance is expensive, and the Tesla program promises lower rates due to its usage-based program. That program uses a "Safety Score" based on monitoring your driving habits as part of the rate calculation.
Tesla's insurance program is underwritten by State National Insurance. Currently, it's available in the following states:
- Arizona
- California*
- Colorado
- Illinois
- Maryland
- Minnesota
- Nevada
- Ohio
- Oregon
- Texas
- Utah
- Virginia
*In California, the Tesla Insurance program doesn't use the Safety Score due to state laws.
Electric vehicles insurance vs. conventional vehicle insurance
There are no real differences between insurance for an electric vehicle and insurance for any other vehicle. The coverages are the same. You will get liability, comprehensive, collision and any other coverage requirements needed for your state. You can also buy the same optional coverages, like roadside assistance and rental reimbursement.
The main difference is in the cost, although there are gas-powered vehicles that cost more to insure than the lower-cost EVs.
Why are electric cars expensive to insure?
Electric cars are more expensive to insure, according to San Diego- based Allstate agent Paul Scalone, because:
- They have a higher purchase price
- They use new technology that's costly to repair or replace.
- EVs are newer to the market and tend to be more challenging -- and thus more expensive – for mechanics to work on
In other words, you have to hire specialized mechanics to fix an electric car, which means you're going to pay more in repairs, which also factors into the insurance premiums.
How to save on electric car insurance
The best way to save on insurance for an EV, or any vehicle for that matter, is to shop around on Insurance.com or another insurance comparison site.
In addition to comparison shopping, Insurance.com offers the following savings tips.
- Raise your deductible, which can decrease your premium costs significantly.
- If you purchase two or more types of insurance from the same carrier, such as home and auto, bundling your insurance policies can yield substantial savings.
- Capitalize on low-mileage discounts: Some carriers provide discounts to drivers and carpoolers who travel less than expected miles annually.
- Equip your vehicle with anti-theft devices.
- Maintain a good credit history.
- Earn a loyalty discount by being a longtime customer.
- Keep a clean driving record (no accidents or moving violations in the past three years).
Do insurers offer electric vehicle insurance discounts?
Some insurance companies offer discounts for driving electric vehicles, but not many. Some companies that offer an electric or hybrid vehicle include:
- Lemonade
- Travelers
- Farmers
Because discounts vary by state, it's important to ask what's available in your area.
Methodology
Insurance.com commissioned insurance rates for electric vehicles from Quadrant Information Services based on a full coverage policy with liability limits of 100/300/100 and $500 deductibles. Rates were fielded for 1,661 makes and models of electric vehicles and based on a 40-year-old male driver with a clean record and good credit.
Electric car insurance: FAQ
Does insurance cover EV battery replacement?
Insurance will only cover your EV's battery if it is damage due to a covered loss, like a collision. Batteries are not covered for wear and tear or mechanical issues.
Will insurance cover EV roadside assistance?
Roadside assistance is available on EV car insurance policies just like any other policy. It will cover things like flat tires, lockouts and towing if needed.
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